We're using WSUS to manage our Windows updates and currently have around 20 Windows 10 laptops that are updating perfectly except for the 1607 update which is failing. I'm getting the following entry in the Event Log. I've tried running it without our AV running, so I don't believe it's that. The Windows 10 Update Assistant starts downloading the update fine but I haven't let it run through yet - I don't want to update my laptop as it's the easiest one to test with at the moment as all the others are with sales guys and trying to pry their laptop away from them is an almost insurmountable task! Any thoughts on this would be great.

At least you are getting an error code, I'm not getting that in the updates section. The event I posted in the original post doesn't even come in as a warning or error :(

If you're not getting anything, add the .esd application/octet-stream MIME type on your IIS then restart the IIS service. This fixed it for me when the upgrade was not seen by the client even though the upgrade was approved by WSUS.

I did cast an eye over it, I need to see about installing the updated templates however. Any suggestions on what I should change the option to? My understanding it that due to the update not being on any computers on the network it should download from WSUS and it doesn't appear to be doing so?! I guess that could indicate a problem with what's stored on the WSUS server though?

As far as I can tell, it's downloaded. I can see the list of files associated with the upgrade and their file sizes. And yep, it's approved for install. Has been for a while to be honest but I thought it was getting stopped via GPO as we'd set the "don't allow windows to upgrade" option to stop the W7 clients from upgrading on their own when it was free. I've since removed that and done a gpupdate on my laptop and several reboots.

At least you are getting an error code, I'm not getting that in the updates section. The event I posted in the original post doesn't even come in as a warning or error :(

If you're not getting anything, add the .esd application/octet-stream MIME type on your IIS then restart the IIS service. This fixed it for me when the upgrade was not seen by the client even though the upgrade was approved by WSUS.

At least you are getting an error code, I'm not getting that in the updates section. The event I posted in the original post doesn't even come in as a warning or error :(

If you're not getting anything, add the .esd application/octet-stream MIME type on your IIS then restart the IIS service. This fixed it for me when the upgrade was not seen by the client even though the upgrade was approved by WSUS.

Thanks for the update, I'll look into that as we are still having problems. I updated my laptop fine via the manual route but I'm now seeing (by the sounds of it) the same problem as you - my laptop tells me there are updates to download but it's stuck at 0%!

I'm deeply regretting enabling it on our network to be honest... it's caused no end of problems and now I don't know if it'll just be easier to disable via GPO and hope that no one has any significant errors or conflicts! haha.